Palestinians say they have been deprived of their salaries, savings and benefits after their accounts were blocked or closed without warning.
Written by: Fayha Shalash, Ramallah, occupied West Bank, June 20, 2026.
Palestinians living in war-torn Gaza are accusing the Bank of Palestine of freezing or closing their accounts without proper justification, making it impossible for them to access their salaries, aid and personal savings.
Several account holders told Middle East Eye (MEE) that after discovering their accounts had been restricted or closed, they were unable to access the funds they needed to pay rent, buy basic necessities, and support their families. They said they received little or no explanation from the bank and were not provided with any clear legal recourse.
Due to the chronic cash shortage in Gaza and the widespread deterioration of banknotes, many Palestinians rely heavily on banking apps and digital wallets to manage and transfer money.
Ahmed Sardah told MEE that he was trying to transfer money through the bank’s mobile app when he discovered that his account had been blocked. He later learned that his digital wallets PalPay and Jawwal Pay had also been suspended. Suspecting a technical glitch, Sardah went to the Palestine Bank, where an employee informed him that his account had been blocked by „management.”.
Sardah claims the bank did not send any warning before the closure and has denied claims that it exceeded its transfer limits. „Unfortunately, we are living in the midst of a devastating war and constant bombing, and on top of that, they are strangling us,” he told MEE. „My life has come to a complete standstill; I can’t even pay my rent, even though I have monthly obligations. How am I supposed to meet them?”
Taghreed al-Daya lost her husband, four daughters and a son in an Israeli airstrike in Gaza City in July 2024. Her eldest daughter, Raghad Banat, had an active account at the Palestinian Bank, where she received her monthly salary. According to Daya, the account was closed as soon as her daughter’s death certificate was issued. Daya said she completed the necessary inheritance procedures, but was told she would have to travel to Ramallah to continue the process – something she described as impossible from Gaza. „I’m in Gaza. How do I get to Ramallah? This is an impossible request,” she said.
Lawyers also joined the criticism
On February 12, a group of lawyers in Gaza protested against the Palestinian Bank for what they said was freezing accounts without legal justification. The Palestinian Bar Association in Gaza later condemned the move, calling it „dangerous and unjustified,” warning that it endangers families already suffering under humanitarian conditions imposed by Israel.
The chamber said in a statement that it had received complaints from numerous lawyers whose accounts had been suspended without prior notice. It estimated that around 700 Gazan lawyers were involved in the group of nearly 2,000 suspended accounts.
Rami Abdo, head of Euro-Med Human Rights Monitor, accused the Palestinian Bank of periodically freezing accounts based on recommendations from the Palestinian Monetary Authority and internal risk assessment procedures. „The Palestinian Bank is exacerbating the problem by preventing citizens from challenging decisions or requesting evidence of compliance with the rules,” he said.
Abdo said the account closures are systematic and can affect hundreds of accounts at a time. He also said that the accounts of Palestinians who have died in the war are closed immediately after notification of their death, leaving families without access to the money, even after the inheritance process is completed. „As soon as they receive the name of a martyr, the bank checks to see if he has an account and closes it,” he said.
The bank denies the allegations.
A source at the Palestinian Bank rejected claims that thousands of Gaza accounts had been frozen, calling them false and baseless. The source said that all actions regarding customer accounts are taken in accordance with relevant laws, regulations and instructions from the relevant authorities, and no arbitrary decisions are made.
„Since its establishment, the Palestinian Bank has been proud of the national and economic role it plays in serving Palestinians wherever they live, especially those in the Gaza Strip,” the source said, adding that the bank currently serves more than one million customers and continues to fulfill its financial services duties despite the challenges of the war.
Responding to the allegations regarding the accounts of deceased Palestinians, the source said that these cases are being handled in accordance with legal inheritance procedures and court decisions to protect the rights of heirs and prevent unauthorized access. These procedures, they added, are equally applicable in Gaza and the West Bank.
The MEE The Palestinian Monetary Authority was also contacted for comment, but no response was received by the time of publication.
